Title: The Toyota way of global knowledge creation the 'learn local, act global' strategy

Authors: Kazuo Ichijo, Florian Kohlbacher

Addresses: IMD, Chemin de Bellerive 23, CH-1001 Lausanne, Switzerland. ' German Institute for Japanese Studies, Jochi Kioizaka Bldg. 2F, 7-1 Kioicho, Chiyoda-ku, Tokyo 102-0094, Japan

Abstract: This paper presents insights from two case studies of Toyota Motor Corporation and its way of strategic global knowledge creation. We will show how Toyota|s knowledge creation has moved from merely transferring knowledge from Japan to subsidiaries abroad to a focus of creating knowledge in foreign markets by local staff. Toyota|s new strategy of |learn local, act global| for international business development proved successful for tapping rich local knowledge bases, thus ensuring competitive edge. In fact, this strategy finally turned Toyota from simply being a global projector to a truly metanational company.

Keywords: automobile industry; emerging economies; international joint ventures; automotive knowledge management; organisational learning; Toyota Motor Corporation; strategic knowledge creation; global knowledge creation; international business development; local knowledge.

DOI: 10.1504/IJATM.2007.014970

International Journal of Automotive Technology and Management, 2007 Vol.7 No.2/3, pp.116 - 134

Published online: 29 Aug 2007 *

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